Posted on 03/09/2006 11:17:47 AM PST by JZelle
Didn't New Zealand successfully use the flat tax?
From a flat state......
Why not guinea-pig it using strictly SALES tax and NO income tax?
Should we put in a clause that allows Democrat poloticians to exempt themselves from paying lower taxes?
Democrats want a conservative tax......tax conservatives double.
Putin installed a flat tax in Russia, receeipts increased, and everyone seems to like it better than the previous system.
"Great Idea. The flat tax would not be as good an idea as The FAIR TAX, but an improvement nonetheless. Imagine passing this law and finding people from Maryland and Virginia moving into the city to take advantage."
Question:
I'm in a 'fair tax' state, and I want to buy furniture. I don't want to pay said fair tax, so I go to the next state and get a low tax on my consumption...effectively avoiding the tax system. The average person would not have a problem doing this, would they?
Works the same with internet sales. Technically, you are personally are responsible for the "use tax" due when you bring it into the state but, realistically speaking, how would anyone know and how would they collect from you?
Real the 16th, dump income taxes, make a federal sales tax, pass another amendment making all income taxes illegal. THEN, we would have a "fair tax" system.
Also, an amendment that would put a cap on the percent of taxes,ALL TAXES, that can be levied on people. Let the gov live within their means.
Regarding my post #16, Real should Repeal!
[Your so-called "fair tax" is an economy killer. We tried that scheme a few years ago called a luxury tax and it killed several industries selling high-end products. A flat tax IS a fair tax.]
I agree with you. I was quoting someone else opinion, and asking a question on why someone would use it.
[Works the same with internet sales. Technically, you are personally are responsible for the "use tax" due when you bring it into the state but, realistically speaking, how would anyone know and how would they collect from you?]
The difference are subtle. The internet has two things which makes a limited market...not everything is for sale on the net, and there's shipping. Now let's say I live right on the border of Georgia, and they have a fair tax. It's very likely that some Georgians will think about going to their neighbor state (especially if their on the border), and get groceries. That's what consumer usually do...go for the cheaper product.
Online they do sell groceries, but it's limited and there's shipping cost. Usually it from a local store as well. I would imagine border grocery stores going bankrupt, and all the business would go just across the state line.
Frankly, I'm not in favor of direct taxes period, even indirect schemes such as the fair tax. I'd rather flip the clock back to the days when the average person owed little-- if anything, to the federal or state government.
The flat tax system is a little bit better than income tax system...primarily because it promote corporation to register their company in America, rather than abroad. Our tax system currently taxes business registered both here, and in other countries they reside in. Thus it becomes an initiative to register elsewhere, and leaves more of a burden on the middle class to support our tax system. Most dims and repubs are unaware of this.
Exactly the same. When you cross a state line, buy something new, and bring it back into your home state, technically, you owe your state the Use Tax on the object in liu of paying the sales tax. In fact New York used to (and may still) station agents at particular out-of-state markets and note the New York license tags - then they sent the owners tax bills.
To paraphrase what I said before, it only matters if you get caught and they can prove it and if they choose to enforce the law. Most states don't enforce the law on individuals at all but almost all do on businesses through sales tax and property tax enforcement.
Your point is well taken regarding states that have high sales taxes but no income taxes like Texas. I have family in Texas and the sales tax rate in Houston was 8%, I don't believe that rate his high enough for people to spend transportation dollars to go out of state. In DC if they went to a FAIR TAX it would likely encourage people to shop in VA or MD. Of course, my idea was to have the FAIR TAX for the entire country.
I disagree with the comment comparing the FAIR TAX to the stupid Luxury tax on boats, That was a specific tax on high cost items, on top of the current tax structure. If the FAIR TAX was enacted, income, FICA and Estate Taxes would go away. The focus would be on consumption not punishing achievement by taxing income.
[disagree with the comment comparing the FAIR TAX to the stupid Luxury tax on boats, That was a specific tax on high cost items, on top of the current tax structure. If the FAIR TAX was enacted, income, FICA and Estate Taxes would go away. The focus would be on consumption not punishing achievement by taxing income.]
I didn't make a comment on luxury taxes on boats.
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